Field help:
(2020)
Distribution before partial exemption
There are so-called "partial exemptions" to balance the taxes already levied on domestic income at the fund level and to compensate the eligibility of the foreign withholding tax.
This means that a certain percentage remains tax-free at the investor level. For private investors, the partial exemptions, depending on the fund type, amount to
- 15% for balanced mutual funds
- 30% for equity funds
- 60% for property-based funds
- 80% for property-based funds with predominantly foreign properties
The investment conditions of the respective fund in the sales prospectus are decisive for the classification as equity, balanced mutual or property-based funds and thus for the amount of the partial exemptions.
Example: An investor participates in an equity fund in 2020 and receives a distribution of 1.000 Euro in 2020. The exemption orders for capital gains are exhausted so that 30% of the 1.000 Euro are granted a partial exemption. The remaining 700 Euro are taxable and are subject to withholding tax of 25% (plus solvency tax and church tax, if applicable).
